The Houston housing market experienced annual growth in December, despite year-over-year decreases in sales during the same month in 2023 and 2022.

According to the Houston Association of REALTORS® (HAR), single-family home sales increased 16.3% year over year in the final month of 2024, with growth in nearly every housing segment. The luxury segment — that is, homes priced $1 million and up — saw the most growth, with sales increasing 64.6% annually.

Looking at the entire year, 85,163 homes sold in Houston in 2024, up 1.3% from 2023. The greatest sales volume of the year was seen in May, when 8,842 homes sold. The total dollar volume in 2024, meanwhile, rose 3.1% to $41.1 billion, up from $39.8 billion in 2023.

“Following two years of declining sales, 2024 brought a welcomed balance to the Houston housing market,” HAR Chair Shae Cottar said in a press release. “While higher mortgage rates presented financial challenges for some consumers, the Houston market weathered these rate fluctuations better than many other regions across the country.”

Home prices, meanwhile, hit a record peak in July, hitting an average price of $443,362, topping the previous record of $441,162, set in May. In December, the average home price eased to $425,150, still a 5% increase year over year.

Year-to-date, the average Houston home was priced $422,590 in 2024, up 2.5% year over year. The median rose, however, was up 1.5%, hitting $335,000.

Months of inventory also reached the highest level in over a decade in 2024. In August through November, Houston had a 4.4-month housing supply, the highest supply since September 2012. In December, there was a four-month supply, which is still within the “balanced market” range of four to six months.

“I believe that the strong sales activity and expansive inventory we experienced in 2024 bodes well for homebuyers and sellers in 2025,” Cottar added.